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HomeMy WebLinkAbout10/10/2000 - Regular (2)ROANOKE COUNTY BOARD OF SUPERVISORS ROANOKE CITY COUNCIL .JOINT MEETING OCTOBER 10, 2000 -12:00 NOON Roanoke County Administration Center 4th Floor Conference Room 5204 Bernard Drive Roanoke, VA 24018 A. B. C. D. E. F. G. H. WELCOME: Joseph P. McNamara, Chairman Roanoke County Board of Supervisors INVOCATION AND LUNCH: Supervisor H. Odell "Fuzzy" Minnix Roanoke County Board of Supervisors ROLL CALL: 1. Roanoke County Board of Supervisors . 2. Roanoke City Council OPENING REMARKS 1. Chairman Joseph McNamara 2. Mayor Ralph Smith REQUEST TO ADD TO OR CHANGE THE ORDER OF AGENDA ITEMS DISCUSSION ITEMS 1. Progress report on operations at the Roanoke Regional Airport. (Jacqueline Shuck, Executive Director and members of the Roanoke Regional Airport Commission) RECESS: The Board of Supervisors will be in recess until 3:00 p.m. in the Board Meeting Room. ADJOURNMENT: Roanoke City Council ACTION NO. ITEM NUMBER AT A JOINT MEETING OF THE BOARD OF SUPERVISORS OF ROANOKE COUNTY, VIRGINIA AND THE ROANOKE CITY COUNCIL HELD AT THE ROANOKE COUNTY ADMINISTRATION CENTER MEETING DATE: October 10, 2000 AGENDA ITEM: Progress Report on operations at the Roanoke Regional Airport SUMMARY OF INFORMATION: At the request of Mayor Ralph Smith and Chairman Joseph McNamara, the members of the Roanoke Regional Airport Commission and Executive Director Jacqueline Shuck have been invited to attend the meeting to present a progress report on operations at the Roanoke Regional Airport. ~# 4 + 4Jw' s x ~' "'9 ~t ~~~ ~~~~'; ~~~: .ter . <~:-j .;.~J~ CITY OF ROANOKE OFFICE OF THE CITY CLERK 215 Church Avenue, S.W., Rootn 456 Roanoke, Virginia 2401]-1536 Telephone: (540)853-2541 Fax: (540) 853-1145 ~~i~ MARY F. PARKER, CMC/AAE City Clerk January 10, 2000 SANDRA H. EAKIN Deputy City Clerk Mary H. Allen, Clerk to the Board of Supervisors Roanoke County P.O. Box 29800 Roanoke, Virginia 24018-0798 ~'` Dear Ms. The Members of the Roanoke City Council look forward to meeting with the Members of the Roanoke County Board of Supervisors on the following dates in the year 2000: February 8 (12:00 noon) -County hosting June 5 (12:15 p.m.) -City hosting October 10 (12:00 noon) -County hosting I look forward to working with you as we coordinate the meetings on behalf of our respective governing bodies. Sincerely, ~~ Mary F. Parker, CMC City Clerk Mary Allen - Re: Oct 10 meeting Page 1 From: Mary Allen To: Susie Owen Subject: Re: Oct 10 meeting I'll add to the joint meeting agenda. I have calls in to Debbie Pitts and Marcia Dougherty at the Brambleton Center to see if we can reserve the Community Room for lunch. If either one of them calls when I'm out of the office, please ask them if the Community Room is available for lunch on Tuesday, October 10. Tell them I'll call them with the details. Mary Allen »> Susie Owen 09/27/00 11:44AM »> Mr. Hodge and Darlene Burcham invited Jacque Shuck and possibly the Airport Commission members here on Oct. 10 for the joint meeting w/Rke City and to have lunch. I don't know how many there may be. Elmer asked her to prepare a 10 min. presentation re. the passenger service and be ready to answer any questions the BOS may have. Kathy Pendleton will be a contact person at the airport if you need to speak with her. 362.1999. Elmer said if this building couldn't accommodate all who were coming in for the meeting that day, that perhaps it could be moved elsewhere. Susie B. Owen, CPS Executive Secretary to County Administrator Roanoke County P O Box 29800 Roanoke, VA 24018-0798 540.772.2004 FAX 772.2193 G ~_ L' cz-° S' DRAFT REPORT ON STORMWATER MANAGEMENT IN THE ROANOKE VALLEY Introduction and opening remarks Regional efforts Phase II requirements and costs Questions and answers What is Phase II? George Simpson, Roanoke County Greg Reed, Roanoke City Wayne Strickland, Roanoke Valley Allegheny Regional Commission Keith Readling, Ogden Environmental and Engineering Services Roanoke County Board of Supervisors and Roanoke City Council When do the requirements affect Roanoke County and Roanoke City? What do we have to do to comply? What are the costs associated with compliance? (Initial and ongoing) Needs assessment Permit compliance Revenue sources What specifically can we do regionally? Public education and outreach Public participation and involvement Watershed planning -mitigation, land use, etc. Emergency response Regional projects -regional detention facilities Roanoke Regional Airport Selected Major Air Travel Markets Round Trip Fares as of.• 29 September 2000 #s Destination Lowest A/P Leisure * ROA Richmond Char/otte Ra/eigh RSA Best Business Richmond Char/otte Ra/eigh New York, LGA $261; 5158; 5268; 5162 5786; $664; $870; 54881 Chicago 598; 5218; 5242; 5156 5822; 51,088; 5924; 5252 Atlanta 5240; 5178; 5214; 5116 5956; 5525; 5678; 5274' Dallas/Ft. Worth 5355; 5230; 5417; 5240 51,224; 51,486; 51,236; 5568 Orlando 5338; 5210; 5182; 5128 5902; 5480; 5812; 5210 Philadelphia 5258; 5285; 5342; 5178 $764; 5664; 5812; 5468 Los Angeles 5363; 5338; 5322; 5384 51,932; 51,630; 51,802; 5618 Miami 5338; 5230; 5248; 5182 5924; 5520; 5832; 5442 Washington (DCA) 599; 599; 5218; 5158 5398; 5398; 5740; 5468 Charlotte 5238; 5198; n/a; 5238 5548; 5658; n/a; 5442 Boston 5330; 5243; 5268; 5172 5898; 5912; 5896; 53821 Houston 5348; 5240; 5407; 5254 51,110; 51,440; 51,216; 5444 Denver 5277; 5301; 5322; 5358 51,556; 51,556; 51,622; 51,318 Detroit 5292; 5282; 5340; 5206 5864; 5818; 5952; 5396 Pittsburgh 5246; 5256; 5376; 5268 5664; 5708; 5836; 5762 Ft. Lauderdale 5318; 5178; 5192; 5156 5924; 5520; 5832; 5258 Nashville 5256; 5224; 5258; 5124 5776; 5922; 5748; 5204 New Orleans 5258; 5180; 5268; 5164 5452; 5290; 5954; 5312 Hartford, CT 5277; 5271 ; 5298; 5144 5806; 5838; 5930; 5338 Cleveland 5261 ~ 5218; 5314; 5314 5722 5984. 5810. 5810 Greens°b ro Lowest A/P Leisure * Best Business o t0... De/ta US Airways AirTran De/ta US Airways AirTran New York, LGA 5138; $138; 5174 5898; 5842; 546 Chicago 5276; 5276; $196 51,168; 51,168; 542 Atlanta 5116; 5116; 5116 5284; 5274; 527 Dallas/Ft. Worth 5224; 5224; 5224 51,408; 51,408; 552 Orlando 5122; 5122; 5122 5344; 5344; 534 Philadelphia 5234; 5234; 5170 5846; 5846; 540 Los Angeles 5323; 5323; n/a 51,802; 51,802; n/ Miami 5172; 5172; 5172 5444; 5444; 544 Washington (DCA) n/a; 5440; n/a n/a; 5538; n/ Charlotte n/a; 5188; n/a n/a; 5306; n/ Boston 5188; 5188; 5188 51,000; 5838; 536 Houston 5234; 5234; 5234 51,236; 51,216; 556 Denver 5536; 5484; n/a 51,570; 51,570; n/ Detroit 5270; 5270; n/a 5940; 5940; n/ Pittsburgh 5278; 5238; n/a 5710; 5710; n/ Ft. Lauderdale 5182; 5182; 5182 5364; 5364; 536 Nashville 5291; 5291 ; n/a 5762; 5776; n/ New Orleans 5188; 5188; 5188 5408; 5408; 540 Hartford, CT 5170; 5208 ; n/a 51,026; 5910; n/ Cleveland 5218; 5314; n/a 5810; 5810; n/ NEWS RELEASE 52 # 3 Rc (~ FA FOR IlVIMEDIATE RELEASE CONTACT: Jacqueline L. Shuck ~ _ Amanda K. Snapp ~a~ (540) 362-1999 ' - ~l a~oar THIRTY-EIGHTH MONTH OF CONTINUOUS INCREASE IN PASSENGER TRAFFIC ROANOKE, August 31, 2000 -- Total passenger traffic at the Roanoke Regional Airport continued to show strong growth in July, recording a 5.31 % increase over the same month last year and marking the thirty-eighth consecutive month of increasing passenger traffic at the airport. A total of 65,655 passengers passed through the airport during the month, which helped to boost year to date passenger totals by nearly five percent over the same period in 1999. A strong economy, coupled with additional non-stop flights and more jet flights by the airlines serving the Roanoke Regional Airport over the past 38 months have contributed to the continuous increase in passenger traffic. During the past two years alone, the daily number of jet seats departing the airport have increased by thirty-eight percent (38 %), while the total number of all airline seats departing the airport have increased by eleven percent (11 %). At present, fifty-three (53 %) of the 2,161 seats departing daily from the Roanoke Regional Airport are on jet aircraft. "The Roanoke Regional Airport Commission continues to provide the region with quality air service," said Jacqueline L. Shuck, Executive Director of the Airport Commission. "We are deeply appreciative that the community is supporting its local airport and contributing to a stronger economy for this region. The increasing passenger hoardings will assist us in making a strong case to the airlines for continued improvements in air service for the region. " The Roanoke Regional Airport offers 94 arrivals and departures on five airlines (US Airways, Delta Connection carriers Comair and ASA, United Express, and Northwest Airlink) to ten nonstop and hundreds of connecting destinations every day. ### #4 PASSENGER PROF/LE Reason for Travel: Business Pleasure Other (Jan. 1993 -March 2000 data) 55.10% 36.50% 8.40% Trips per Year: 1-3 61.13% (Jan. 1993 -March 2000 data) 4-7 16.80% 8-12 7.96% 12+ 14.11% Major Corporate Customers: Approx Pax/Day (Jan. 1993 -March 2000 data) 1. Virginia Tech 1 1.08 2. General Electric 7.16 3. Norfolk & Southern 6.54 4. First Union Bank 2.42 5. WestVaCo 2.21 6. ITT 1 .54 7. Carillon Health Care 1.04 Other Frequent Users: 1. Advance Auto 2. Medeco 3. Hayes, Seay, Mattern &Mattern 4. Radford University 5. Volvo/GM Source: Roanoke Regional Airport Commission Emplacement Surveys 1993 - 2000. I i ~"$I lyO.A.. // /` I I +rl I I I I I I ~~, 4 I I I I c I I I I __~. 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N . ~ . I.. '~ L---r-- I I ~~ I I ~ ~~ ' ~~ ~z~ r r~ ~ I> ~ _ _.~ ~ I Ci .G i ~ g --ems i I ~ f I o ,~ i I ~ ~ I I I I I ITM, .Q, ~ i ~ I t i ~1 I I °~ I G I o I ~ .P. I I a I I I I I nvl'C I I I ~ ~ ~ ~~ D ~ Z A ro ~ m .'0 ~~ i 0 ~~. _ - Roanoke Reaional Airport Commission Summary There are no major changes to the flight schedule this month. The only changes are related to timing and flight numbers. The airport's number of daily departures remained the same at 47. Daily departing seats also remained the same at 2,161. Destina- tions served nonstop are 10, and destinations served direct (one- stop, same-plane) are five. Scheduled Daily Service Departures: Jet 15 Turboprop 32 Total 47 Destinations Served Nonstop Daily Seats 1,149 (53.17%) 1,012 (46.83%) 2,161 Destinations Served Direct Jet: 5 Jet: 2 Turboprop: 9 Turboprop: 5 Total : 10 Total: 5 US Airways US Airways Express made a few minor timing and flight number changes to their schedule. Total departures remain the same at 20 each day as have daily departing seats at 1,145. United Express Atlantic Coast Airlines made no changes to its schedule for the month of September. De/ta Connection ASA and Comair made a few minor timing changes, but there were no major changes to either airline's schedule. NW Air/ink There were no changes to Mesaba's September schedule. Aircraft Types Jet Aircraft No. of Departures CRJ Canadair Regional Jet 9 733 Boeing 737-300 3 73S Boeing 737-200 2 D93 McDonnell Douglas DC-9 1 TOTAL JET: 15 Turboprop Aircraft J32 British Aerospace Jetstream 32 6 J41 British Aerospace Jetstream41 1 BE1 Beechcraft 1900D 4 DH8 DeHavilland DHC Dash-8 11 EM2 Embraer EMB-120 Brasilia 4 ATR Avions de Transport Regional 2 SF3 Saab SF340 4 TOTAL TURBO-PROP: 32 Destinations Non-Stop Jet Departures Turbop rop Departures Total Served Atlanta 2 6 8 Charleston, WV 2 2 Charlotte 3 3 6 Chicago 3 3 Cincinnati 4 4 Detroit 3 3 Philadelphia 3 3 Pittsburgh 3 2 5 Washington Nat'I 2 2 Washington Dulles 1 1 1 1 Destinations: 10 15 32 47 One-Stop Jet Direct Turbo prop Direct Total Charleston, WV 2 2 Detroit, MI 2 2 Cleveland 1 1 Wilmington NC 1 1 Rochester 1 _ 1 Destinations:5 2 5 7 Carrier Profi/e Airline Destination Departures Seats Eqpt• Delta Connection Atlanta 4 120 EM2 2 128 ATR 2 100 CRJ Cincinnati 4 200 CRJ TOTAL: 12 548 United Express Chicago 3 150 CRJ Washington, IAD 5 95 J32 2 58 J41 TOTAL: 10 303 US Airways Charlotte 1 126 733 2 220 73S 3 1 1 1 DH8 Pittsburgh 1 101 DC9 2 252 733 2 74 DH8 Philadelphia 3 111 DH8 Washington, DCA 2 74 DH8 Washington, IAD 4 76 BE1 TOTAL: 20 1,145 Northwest Airlink Charleston, WV 1 33 SF3 Detroit 4 132 SF3 TOTAL: 5 165 ARPT. 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WNO~ W VCTt~C0O VOV-~OOWCflAAO~l~OO~NWtOW-.10~ O '£' 4 ~~, N V N -~ N -~ -~ N N -~ '~~ CJIWCOWOVO-~CJ'~COWtJ1WO-~-~WAVNCJIVA-~~V WU1C7tW W ,,: ((~~O~COOONCfl~AVO~ WCflOOCJ~(J100W NVANOV N(JtOCpO ~ AOWACflVACT~CTt0O~WONO~O-+000DODAWODNOtO-~00 OD ~. 'ti V -+~~NNNNNNNNNNN W W W W W W AAA~(Jt(JtU1O V CO O V V COOOO-+-+N W Cn UtODODO~~NAO NN W O~UtON W W O O O O O O O O O O O O O O O C O 0 0 0 0 0 0 0 0 0 0 0 0 0 O j-+NNN--NN~NNNNNN~NNN-+-•N~N~N-~N~-~ -~ <D~<0-X0000-+<0O0COOCO-~~C~ODONOOCW OA-~ aD W A AWCONW V-~WA VtV~ODAQO WAODA-+V-~ COOOCflODO O -~O(flAU~GO'AODCOC1tCflO0 WOa+~"-O~ W (J1-~COd0O0OW ODNCU (C SE,~~~rE ~ # 7 ~xcc2~TS Comparative Air Service Air Fare Analysis Prepared for The Roanoke Regional Airport Prepared by The Boyd Group/ASRC, Inc Aviation Consulting, Researoh and Forecasting 78 Beaver Brook Canyon Road Evergreen, Colorado 80439 (303) 674-2000 Fax (303) 6749995 August 2000 4 II. Summary of Findings The data and information gathered in this project point to the following conclusions: Air Service Levels Overall, Roanoke Regional Airport is very well served. It has excellent access to a wide range of connecting hubsite airports, and, while there are some improvements that can be achieved, there are no material shortfalls in service. Air Fares The fares at ROA are not out of line. That does not imply that ROA is a "discount" airport, but fares are comparable to those at other regional airports. Greensboro, a much larger market, does have a wider range of low fares that will continue to attract passengers from the ROA service area. This disparity is driven simply by the size of the markets. Roanoke Regional does draw on the large population base that can support a wide range of standard-size jet service, as can GSO. This larger population base has also attracted AirTran, a low-fare jet carrier which also tends to depress fare levels. This means that there will always be "unfavorable" comparisons In some cases, made between fares offered at ROA and those at GSO. This does fares are not mean that fares are disproportionately high at Roanoke, actually less only that they are typical of airports of its size. Nor does it from Roanoke indicate a "failure" on the part of Roanoke marketing efforts. than from Greensboro. In some cases, fares to some major destinations from ROA are actually lower than those offered at GSO by some of the major carriers. While this varies almost daily, and is affected by number of seats actually offered, it does indicate that travel on mainline airline systems from ROA in many cases-is no more expensive than using Greensboro.2 z This is shown in the fare comparisons in the Appendix. The Boyd Group/ASRC, Inc. 5 Airline Service Levels The airline service now experienced at ROA is stable. With the exception of US Airways/United merger, there appear to be no future shocks to the system in terms of material reductions in service. However, should that merger be approved, there are no guarantees (regardless of intimations to the contrary by the carriers involved) that service levels would be reduced. The result of this merger would be that one carrier (United) would dominate approximately 80% of the passenger base at ROA. This is covered below. Potential Additional Service ROA is a prime candidate for nonstop service to New York. Recent changes in slot rules at LaGuardia make small jet or turboprop service very supportable. In addition, there is potential for service to Memphis (Northwest Airlink), St. Louis (TW Express), Cleveland (Continental Express) and Raleigh/Durham (Midway). The Effects of The ~nited/US Airways Merger Whenever a competitor is eliminated, the net result is negative for the consumer. In the case of ROA, the proposed merger of United and US Airways cannot but have the result of lowering service levels in the long run. Because ROA is served by both the United and the US Airways system, the combination of the two will eliminate one carrier option and reduce competition. Furthermore, there is no information at this time regarding how the merged carrier will rationalize its hub feed networks or their regional airline systems. The Boyd Group/ASRC, Inc. 6 III. Roanoke Air Service Levels The Boyd Group reviewed the existing service levels at Roanoke Regional Airport. In summary, ROA has excellent air service at the present time. This is not to say that improvements cannot be achieved, but when compared to other airports in the region, Roanoke is well served. The most important factor in evaluating air service at airports this size is connectivity -the ability to access the national and international air transportation system. Within the hub-and- spoke system, the higher number of connecting hubsite airports that are accessed, generally the wider the choices for consumers. The Roanoke Regional Airport has excellent connectivity, with nonstop service to eight connecting hubsite airports, and access to four major airline systems, as well as service to Washington's Ronald Reagan National Airport, which is not a true connecting hub airport. Current ROA Air Service -- ~~ _--~ Service to eight hubsites provides ROA with single- carrier access to virtually every city in the lower 48 United States, as well as numerous international destinations. ~' All of the major airline systems depicted on the map are represented in the Roanoke market by regional airline affiliates with the exception of US Airways, which operates both mainline and regional service at ROA. The Boyd Group/ASRC, Inc. As a simple example of the connectivity ROA enjoys, consumers traveling to western destinations, for example Phoenix, Los Angeles, and Dallas/Ft.Worth, have a choice of four airline systems, and flight options over six connecting hubs.3 Roanoke is provided over 2,100 average daily departing seats on 46 flights. 53 percent of the departing seats are on. jet aircraft. Current Service Patterns Service patterns to the 15 top destinations noted in the Appendix were reviewed. As noted above, the current air service patterns at ROA provide consumers with multiple hub and airline choices to nearly all of the top destinations reviewed. Note that routings that are slightly circuitous (i.e., directional back-tracking) in nature have been included, while overtly circuitous routings have not. Roanoke Regional Airport Current Service to Top 15 Markets New York 1 CC C C CC C Atlanta 2 C NS CC C Chicago S CC CC C C C CC NS Detroit 4 C C NS OrlP.ndo 5 C CC CC C CC C CC DalLw/Ft. Worth 6 C CC C C CC CC C Boston 7 C C C C C C Pittsburgh 8 CC NS CC C Loa Angeles 9 C CC C C C C CC CC Tampa 10 C CC CC C CC ~ Miami 11 C CC CC C C CC Charlotte 12 NS CC CC San Francisco 13 C CC C C C C CC C Denver 14 CC CC C CC CC C CC C Phihidelphin 15 NS C CC C /,ECF.ND. NS=NakbP.C=Cmnxlion,CC=Ciicnitous Co~uMCtion The above patterns of service are highly competitive with other airports in the region, and in the case of Huntington, far superior.4 The Greensboro/High Point/Winston-Salem triad does enjoy much higher levels of air service, both in terms of access to additional connecting hubsites and "local O&D --service" to the New York metropolitan area. This is simply a factor of a greater concentration of population and business activity in the ' These are Pittsburgh (US), Atlanta (DL), Charlotte (LJS), Chicago/O'Hare (UA), Cincinnati/Northern Kentucky (DL), and DetroitlMetro (NV1~. Connectivity with someback-tracking is also available through Washington/Dulles (UA). `Service patterns are snapshots as of May 2000 only, and are subject to change. The Boyd Group/ASRC, Inc. 8 "Piedmont Triad." It is not an indication of "substandard" service at Roanoke, but instead is a function of GSO serving a much larger population base. Available Ca~nacity and Might ~F"requencies As of Summer 2000, Roanoke Regional Airport offered consumers approximately 2,104 seats on 46 average weekday departures. Of these departures, fifteen (almost one third) were on jet aircraft. The jet departures represent approximately 53 percent of the daily seats from ROA.5 In reviewing the service levels at other airports in the region, ROA is not at any disadvantage. The number of departing flights and average number of daily available seats are illustrated in the tables that follow. The differences in air service are generally consistent with differences in the population bases of the primary service area of each airport. Average Daily Departures 80 so 40 20 0 s These data will likely shift with some volatility in the coming 12-18 months as airline systems add and/or re-direct their fleets of small ("RJ") jet aircraft. However, airline fleet trends point to ROA moving toward being predominantly jet-served in the next two years. The Boyd Group/ASRC,, Inc. Roanoke Greensboro Hurdngton Charleston LynClriurg !Jd ~ tflProp UeWrtues 9 Average Daily Departures 50 40 30 20 10 0 Average Daily Departing Seats 7 Thousands 6 5 4 3 2 1 0 The Boyd Group/ASRC, Inc. Roanoke A~eNle CFatYnooga CharMkBesiile Tri-Cakes HuMsvile ~d Departves ~T/Prap DepaAves Roanoke Greensboro Huntinghm Charleston Lynchburg Jet ~ TiProp 10 Average Daily Departing Seats 3000 2500 2000 1500 1000 500 0 The Boyd Group then compared the basic service area populations of each airport to the average number of departing seats, using Roanoke as the baseline. Air Service vs. Service Area Population Roanoi~e Regional Airport As Baseline Percent variance When reviewed based on population served, Roanoke's air service is highly competitive with neighboring airports. J1N.VA 400.0% .............................................».._...,......._ ..._....._...__..................__.......... soo.o% --------~ ------------------------ --------------------------- ----------~---------...---------------------- zoo.o% ----------------------------- ----- -------------------------- ----------------------------- ,oo.o% ---- ---~------------------------------ -------...--------- -------------------------------- o o% . ,oo o% - . HuMi Charleston Greensboro L chbur Service Area Population 38.3% 11.0% 398.5% -10.9% Departing Seats -89.4% -18.2% 197.7% -80.4% E~Service Area Population ~DepanSng Seats The Boyd Group/ASRC, Inc. Roendce Ashevile Ctletiargoga C~erbl0esvile Tn-Cities Hurah~ile ,let tTlProp 11 Air Service vs. Service Area Population Roanoke Regional .Airport As Baseline Percent v,~r,{ance A review of the charts illustrates that although both Huntington and Charleston have greater populations, these markets have fewer departing seats each day. The Piedmont Triad International Airport in Greensboro, with an airport service area population nearing 400 percent greater than ROA, offers only 200 percent more seats than ROA. Lynchburg has a lesser population and fewer departing seats. On the basis of this chart, it is clear that Roanoke Regional Airport is receiving adequate air service for the population base served. The anomaly among the airports was Huntington. Although the population served is nearly 40 percent greater than ROA, that airport offers its service area nearly 90 percent fewer seats each day. The Boyd Group briefly reviewed the market in an attempt to determine if the air service (or lack thereof) at Huntington was indicative of future events that may affect ROA. We believe this is not the case, based on the following two factors: • First, Huntington is bracketed by Charleston to east and Lexington to the west, with easy access to either city via interstate highway. Both CRW and LEX are state capitals, which in many cases tend to generate The Bo~~d Group/ASRC,, Inc. t~Service Area Population Departing Seats 12 disproportionately higher passenger enplanements per capita than markets without a large government base. As a result, The Boyd Group believes that airline planning departments have decided to focus resources on these markets, and either hope to draw traffic from Huntington to an alternative airport or forgo that traffic altogether. • Second, the buying power of the Huntington market is very weak. When measured in terms of aggregate income, median household income and per capita income, the Huntington market is less than all of the airports reviewed for this analysis, as well as Lexington. To illustrate, the per capita income and median household income in Huntington is 25 percent and 27 percent less than Roanoke, respectively. Simply put, there may be more people in Huntington than Roanoke, but their ability and propensity to travel may be much less. Conclusions As the preceding pages clearly show, the Roanoke Regional Airport is in a strong position when it comes to levels of air service. The market has competitive service to multiple hubsites and a respectable percentage of jet departures. The Boyd Group/ASRC, Inc. 13 IV. Ambient Fare Levels At ROA The Boyd Group reviewed fares at ROA to the same 15 top markets. We then compared these fares to those charged at the other airports in the region. It should be understood that there are dozens of airline fare levels. These change almost moment to moment, and it is not possible to make an exact comparison between airports. This is because there are differences in market size, aircraft used, and airline strategies. However, general and meaningful comparisons can be made. To this end, a review of fares used generally by business and leisure travelers was conducted. The tables giving the fares in each category and market are in the Appendix of this document. Business Fares: 3 Day Advance Purchase Business travelers typically make reservations closer to departure date than do leisure travelers. In every market, there is usually a "walk-up" fare representing the price charged for passengers who book travel and buy the ticket on the day of departure. In most cases, this "walk-up" fare is exceedingly high. But most business travelers do have a few days' advance notice - very few discover that travel will be necessary only the day before, or on the day of, travel. Therefore, to be realistic, we checked fare levels three days out from the travel date, and compared the prices between the airports in the region. Of course, the fares in this case were still not by any means "low" and in some cases may not differ materially from the "walk-up" rates. But this category of published fares does provide ~-good gauge of overall prices charged to business travelers. Fares were quoted three days before travel, with weekday flights and on a one-way basis. Depending on the market, some of these fares may have restrictions on refunds and itinerary changes, but most do not. The Boyd Group/ASftC, Inc. 14 Fares are compared as an average of the 15 markets, and are expressed on acents-charged-per-mile ("yield") basis. In this analysis, the fares were expressed with tax, but not PFC or segment charges.s 6 Note that the term "yield" in the airline industry expresses cents per mile without tax. For ease of understanding, the cents per mile data in this document includes tax to reflect the amount the passenger would actually pay, less PFC and segment chazges. The Boyd Group/ASRC, Inc. 15 Fare Overview Comparison One-way, 3-day Advance Purchase 5,.,00 Business fares at ROA are very comparable, or ~~~ below, those of other cities in the region. m.6oo Much larger Greensboro has ~~ benefit of AirTran jets to suppress fare levels, 50-500 Fare Overview Comparison One-way, 3-day Advance Purchase 5,.,00 50.950 50.900 50.650 50.500 Roanoke Asheville Hunstville Charlottesville Tri-Cities Chattanooga Here, ROA is found to be very competitive with its neighbors. The one market with a significantly lower average fare is Greensboro/High Point/Winston-Salem. This is attributable to The Bog~d Group/ASRC, Inc. Roanoke Huntington Charleston Lynchburg Greensboro 16 Roanoke is highly competitive with other regional airports, including GSO, when it comes to leisure fares. low-fare carrier AirTran Airways, which offers service to nine of the top 15 markets through its hub in ATL. Nevertheless, excluding GSO because of the much higher population and service levels, the chart illustrates that Roanoke compares very favorably with other airports in the region when in comes to fares most often paid by business travelers. Leisure Fares: 2-Week Advance Purchase with Saturday- Night Stay The quoted fares in this comparison typically meet the requirements of leisure travelers, and tend to represent some of the lowest fares in any given market, although the actual lowest fare can vary due to several factors. These fares represent restrictions on purchase and use. Such factors include day of travel, availability restrictions, non- refundability, and penalties for changes. Fare Overview Comparison 14-day Advance Purchase with Saturday Night Stay Average YeW (cerRS per mik) m.~ so.,oo ~.~ so.zoo ;0.269 ;0.268 50.252 ;0.237 ;0.238 Roanoke Huntington Charleston Lynchburg Greensboro The Bo~•d Group/ASRC, Inc. 17 Fare Overview Comparison 14--day Advance Purchase with Saturday Night Stay Average Weld (oats per mle) 10.500 E0.100 Eo.3oo so.zao SOA62 50.372 50.325 50.329 50.318 S0.2li2 Roanoke Asheville Huntsville Charlottesville Tri-Cities Chattanooga As with fares paid by business travelers, the analysis shows that Roanoke offers leisure travelers highly competitive fares to these key markets. It is also significant to note that the fare advantage enjoyed in the GSO market by business travelers is not as pronounced when reviewing leisure fares. It must be remembered, also, that the number of seats made available will tend to be less where smaller aircraft are used. The 50-seat jets from ROA to ATL, for example, will likely offer fewer discount seats than the AirTran DC-9 between GSO and ATL. The result is that the discount fares may sell out more quickly in a smaller market. Again, this is a function of the market size -larger airports can support larger aircraft. Conclusions In summary, Roanoke Regional Airport offers its service area fares that are comparable, and in some cases better, than other surrounding airports. Note that this does not mean that the market is typified by super-low discount fares. But relative to the compared markets, ROA is within roughly one-cent per mile The Bo~~d Group/ASRC., Inc. 18 for both business and leisure fares. As noted, the only exception to this is business fares from Piedmont ~iad International Airport to markets served by low-fare carrier AirTran Airways. 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